Biotechnology is one of six emerging industries that can lift the nation's economic growth and workers' salaries and introduce Taiwanese brands to the global market, Premier Jiang Yi-huah said today while visiting United Orthopedic Corp. in Kaohsiung.
The premier expressed hope that his visit would encourage outstanding companies belonging to these emergent industries—biotechnology, medicine and health care, tourism, green energy, cultural and creative industries, and high-end agriculture—and added that he wants to know their expectations of and recommendations for the government.
"The government pays great attention to biotechnology and medicine, as attested by its implementation of the Diamond Promotion Plan for the Biotechnology Industry as well as the biotech development act passed by the Legislature, which have led steadily to the takeoff of the industry," he said.
"Over the past five years, the number of domestic biotechnology and medicine companies listed on the Taiwan Stock Exchange and the Gre Tai Securities Market (Taiwan's over-the-counter market) has increased from some 40 to over 70," Jiang pointed out. "The medical equipment industry's annual growth has surpassed 10 percent since last year and is still gathering steam."
"Although biotechnology and medicine businesses are often referred to as 'cash-burner' sectors and pose great hardships in the process of investment, research and development, and brand expansion, once these difficulties are overcome, the sense of accomplishment is enormous," he commented.
Citing the example of his elderly mother-in-law who often uses a wheelchair due to knee discomfort, Jiang emphasized that biotechnology and medicine businesses can not only reap profits but also be benefactors for the aged, and he thanked United Orthopedic for developing orthopedic prostheses and auxiliary devices for senior citizens. Moreover, the industry can benefit from the aging of society by providing care for the growing elderly population, he noted.
Turning to policy, the premier pointed out that the Cross-Straits Economic Cooperation Framework Agreement's (ECFA) early harvest list alone has saved United Orthopedic 4 percent in tariffs, and last year the company's exports to mainland China grew over 30 percent. "This is the best testimony to the benefits of ECFA," he said.
"Taiwan's signing of economic pacts with other countries, the Cross-Strait Agreement on Trade in Services and the upcoming Cross-Strait Agreement on Trade in Goods are meant to lower tariffs and raise national competitiveness."
The premier reiterated that the cross-strait services trade agreement does not merely benefit big businesses. "SMEs make up 98 percent of Taiwan's enterprises, and the government is constantly working to create business opportunities for them," he said.
Underlining the administration's efforts to deepen Taiwan's trade relationships, he noted that the Legislative Yuan ratified the Agreement between New Zealand and the Separate Customs Territory of Taiwan, Penghu, Kinmen, and Matsu on Economic Cooperation yesterday, and the nation aims to sign economic cooperation agreements with more countries, such as Singapore, in the future. "The government expects to further integrate Taiwan with the global economy to create the largest niches possible for Taiwanese businesses," he affirmed.
"In addition to pursuing such tangible results, the government is aiming to help the six emerging industries to establish their own brands," he continued. "I have already directed the Ministry of Economic Affairs to strengthen its counseling for entrepreneurs on this subject and encourage greater focus on research and development by businesses.
"The government is also working to help eliminate trade barriers which hinder Taiwanese firms," he added.
The premier then encouraged entrepreneurs to keep their employees happy and proud of their companies' growth by providing good working conditions and sharing the fruits of success.
Afterward, Jiang visited United Orthopedic's factory to gain a practical understanding of artificial joint production, including the titanium bead sintering and plasma spraying treatment processes.
Among those accompanying the premier on today's visit were Executive Yuan Deputy Secretary-General Chien Tai-lang and Southern Taiwan Joint Services Center Deputy Executive Director Lin Qing-qiang.